Every quarter the different ASX indices ie: ASX20 (XTL), ASX100 (XTO) etc etc are rejigged to kick out the shares that are lagging and promote the ones that are performing.
In real terms the only real impact I can see is that eg: some funds/managers are limited to investing in say the XTO only so if a share falls out of it then it is likely to see less institutional investment which means less buyers, more sellers = lower share price (in theory).
In this case of OML they have fallen out of the ASX200 as the share price has dropped and MC with it which means they are only in the ASX300 now. Hope this helps... DYOR.
Ann: S&P DJI Announces September 2020 Quarterly Rebalance, page-3
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